LONDON (ShareCast) - (ShareCast News) - Hummingbird Resources announced a positive preliminary report from an independent consultancy firm for the proposed hydro-electric power plant in southeast Liberia that will power the company's Dugbe gold project.
Hummingbird said the report, which was carried out by Knight Piesold Consulting, demonstrates a range of hydropower options that would be highly beneficial in the development of a sustainable and low-cost source of power for the Dugbe project, as well as the south-east Liberian region.

Chief executive officer Dan Betts said: "We are highly encouraged by the preliminary study for the development of a HEP plant in south-eastern Liberia which, if developed, will enable a sustainable and low-cost source of power for our Dugbe gold project and secure a source of domestic power supply for the local region.

"With the pre-feasibility study being fully funded by IFC InfraVentures, Hummingbird is ideally positioned to capitalise on the HEP development whilst mitigating risk and capital exposure. We also believe the HEP scheme will create a catalyst for growth in the region and provide a significant potential operating cost saving for the development of the Dugbe gold project."

The company said the Dugbe project, which is expected to produce 125,000 ounces of gold initially and has a net present value of $186m, is likely to require around 16 megawatts on average.

At 1303 BST, Hummingbird shares were up 1% at 25.50p.

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